U.S. M&A Activity Decreased by 1.6% in April 

U.S. M&A deal activity slowed in April, with 940 announced transactions—a 1.6% decrease from the 955 recorded in March, according to data from FactSet. The decline in deal volume was accompanied by a steep drop in aggregate deal value, with total M&A spending falling by 50.3% month-over-month. 

Despite the overall slowdown, a few sectors bucked the trend. Over the past three months, four of the 21 sectors tracked by FactSet saw an increase in deal activity compared to the same period a year ago: Technology Services (715 vs. 640), Health Technology (102 vs. 90), Miscellaneous (19 vs. 13) and Consumer Non-Durables (87 vs. 83). 

However, deal volume declined in 14 of the 21 sectors during the same three-month comparison. The five sectors with the largest year-over-year drops in activity were: Finance (478 vs. 639), Commercial Services (335 vs. 470), Consumer Services (138 vs. 229), Distribution Services (97 vs. 179) and Industrial Services (179 vs. 213). 

Several headline-grabbing transactions still moved forward in April, led by megadeals in payments, infrastructure, and consulting: Global Payments, Inc. agreed to acquire Worldpay, Inc. from Fidelity National Information Services, Inc. and GTCR LLC for $24.25 billion; Fidelity National Information Services, Inc. also struck a deal to acquire the Issuer Solutions business of Global Payments for $13.5 billion; Thoma Bravo LP announced its acquisition of the digital aviation solutions business from The Boeing Co. for $10.55 billion; Brookfield Infrastructure Partners LP agreed to buy Colonial Pipeline Co. for $9 billion from a consortium of investors including KKR, IFM Investors, Shell, CDPQ, and Koch, Inc.; Baker Tilly US LLP, backed by Hellman & Friedman, agreed to acquire Moss Adams LLP in a deal valued at $7 billion. 

While April’s numbers point to continued caution across much of the market, ongoing activity in high-value strategic deals suggests investors remain ready to transact under the right conditions.